This, according to TI, was possible due to legal loopholes in Germany. And it makes it particularly attractive for crime that wants to launder the capital it is accumulating in illegal ways.

The fact that although German laws require real estate brokers and notaries to be aware of their clients identity. And the source of their investors’ capital and to report on suspicion, creates a problematic situation. And their confidentiality vow makes it difficult for the German authorities to control the process.

In addition to that, the lack of information sharing between law enforcement agencies in separate states, as well as between the states and the federal government in Berlin, contribute to creating a favorable environment for those who wish to exploit the situation for the worse.

Recently, Germany has been trying to combat fraud in the field. By implementing transparency laws that came into force at the European level. And by increasing economic intelligence teams to combat the phenomenon. However the road to a complete solution to fraud problem in Germany is still a long one.